(90) Overpricing.
(1) Before any recoupment action is taken, the contractor shall be contacted for any explanation of the basis of its price, and whether a pricing error has occurred. A determination shall then be made as to the existence of overpricing.
(2) If it is determined that overpricing has occurred, the contract should be canceled or a price reduction/voluntary refund requested, as applicable. Voluntary refund requests of $50,000 or more shall be approved by the chief of the contracting office (CCO). This approval authority may be delegated for up to a 2-year period, to one level below the CCO, (not redelegable, except at DSCs, where it may be redelegated, for requests does not exceed $500,000), to the chief of the pricing element and to a level no lower than the level above the contracting officer. The Refund requests with supporting rationale should be made in writing to an appropriate contractor official, and should include amounts related to any previous awards by the contracting office for the item for which a voluntary refund is also requested. Awards to other suppliers of the same item should also be reviewed for apparent overpricing, and any appropriate corrective action pursued in accordance with DFARS 242.71 and this subpart. Apparent overpricing on any award made by any other contracting office should be referred thereto for resolution.
(3) In the event efforts to secure a voluntary refund are unsuccessful, voluntary refund requests to the company head shall be referred for coordination/issuance by the approving official cited in (2), above.
(91) Nonconformance. Voluntary refunds for contractor-caused nonconformances discovered after Government acceptance shall be handled in accordance with procedures set forth in 46.407(f)(92) through (95).
